SRE302 – Building

Measurement & Estimating

Week 6
Estimating Part I

Delivered by:
Dr Argaw Gurmu
Level 4 - John Hay Building, Deakin University, Geelong
Tel: +613 522 78663
E-mail: argaw.gurmu@deakin.edu.au
 CLASS AND SEMINARS

 Class – Wednesdays from 11:00 - 11:50 in D2. 194

 Seminar 2 - Wednesdays from 12:00-12:50 in D3.202
 Seminar 3 - Wednesdays from 16:00-16:50 in D3.202
 TEACHING TEAM

Unit Chair , Lecturer & Tutor- Argaw Gurmu

 Email: argaw.gurmu@deakin.edu.au
 Tel: +61 3 522 78663

Contact via: Discussion Board on CloudDeakin; In person (by

appointment); E-mail; or Telephone.
 SUPPORT TEAM

 Study Support - http://www.deakin.edu.au/students/study-support

 Library - https://www.deakin.edu.au/library

 Student Central - http://www.deakin.edu.au/students/deakin-central

 Student Committee

 Deakin University Student Association (DUSA) - www.dusa.org.au

 LEARNING OUTCOMES

 ULO1: Integrate the principles and practices of measurement and

estimating
 ULO2: Develop comprehensive skills in the use of the Australian Standard
Method of Measurement (ASMM) as a tool for completing measurement
and estimating.
 ULO3: Measure quantities and estimate unit rates to prepare tenders for
common types of low and medium rise construction
 ULO4: Utilise information technology, especially Building Information
Modelling (BIM) for measurement and estimating.
GRADUATE LEARNING OUTCOMES

 GLO1: Discipline knowledge and capabilities

 GLO2: Communication
 GLO3: Digital literacy
 GLO4: Critical thinking
 GLO5: Problem solving
 GLO6: Self-management
 GLO7: Teamwork
 GLO8: Global citizenship
 UNIT WEEKLY ACTIVITIES

Week Commencing Topic Assessments

1 6 March 2022
Introduction, Preliminaries, Preambles & CostX
2 13 March Measurement of Reinforcement
3 20 March Assignment 1 – Quiz 1 (open)
Review of Concrete and Formwork Measurement

4 27 March Measurement of Structural Steelwork

5 3 April Assignment 2 - Interim
Introduction to estimating
Report Due
6 17 April Estimating Part I
7 24 April Assignment 1 – Quiz 2 (open)
Estimating Part II

8 1 May Estimating Part III

9 8 May Assignment 2 – Final report
Measurement of Finishes
Due
10 15 May Measurement of Drainage
11 22 May Revision Assignment 3- Due
 ASSESSMENTS

Mark
Deliverable Format Submission Date
(%)
Assessment 1 – Quiz 1 10 Individual 24 March 2023 8pm to 31 March 2023 8pm
Assessment 1 – Quiz 2 10 Individual 28 April 2023 8pm to 5 May 2023 8pm
Assessment 2 – Interim Report 25 Group Thursday, 6 April 2023 by 8pm
Assessment 2 – Final Report 25 Group Friday, 12 May 2023 by 8pm

Assessment 3 – Individual Friday, 26 May 2023 by 8pm

Individual NB: Hurdle requirement applies,
Measurement & Estimating 30
students must achieve at least
Task 40% in Assessment 3 to pass the Unit
LATE SUBMISSIONS AND PENALTY

Please take note!

•If you do not have an approved extension to submission due date, then
5% will be deducted from the available marks for each day up to 5 days.
•If work is submitted more than five days after the due date, will not be
marked; and you will receive 0 marks for the task.
https://video.deakin.edu.au/media/t/1_kco3xroe
 PLAGIARISM AND COLLUSION

 Web link: http://www.deakin.edu.au/students/study-

support/referencing/plagiarism

 Reference correctly

 Work with your friends to learn – write your own assignment to

demonstrate that you have the required knowledge
Unit Site
UNIT GUIDE
ASSESSMENT BRIEF
 LEARNING RESOURCES

Australian Institute of Quantity Surveyors and New

Zealand Institute of Quantity Surveyors 2018,
Australian and New Zealand standard method of
measurement of building works (ANZSMM) , 1st
ed., Australian Institute of Quantity Surveyors, Sydney.

 YOU NEED TO BUY THIS BOOK.

 Please note that ANZSMM is only available on

"Reserve" in the Deakin Library
 LEARNING RESOURCES

Picken, D.H. 1999.

Marsden, P., 1999. Sierra, J.E.E. 1994. Building measurement:
Building measurement: Worked
Basic building A guide to the Australian standard method
examples. Geelong, Vic.:
measurement. 2nd Ed. of measurement of building works. 2nd Ed.
Deakin University Press.
Kensington, NSW: NSW: Open Training and Education
UNSW Press. Network.
 Outline

4. Detailed estimating (continued from Week 5)

4.2 Labour cost
4.3 Equipment cost
4.4 Overheads and profit
5. Building up rates for concrete
 4.2 Labour Cost

Estimating of labor productivity

1. National reference books
2. Historical data
3. Field observations
 4.2 Labour Cost

Labour productivity
2- Estimating labour productivity using historical data

An alternative source for determining labour productivity is historical data.

This information is obtained from the accounting system.

Labour-hours per Unit = Labour Hours / Quantity

 4.2 Labour Cost

Labour productivity
2- Estimating labour productivity using historical data

Example 4.
A recent project included 150 square meter of 10 cm-thick sidewalk and
completed by 12 labour hours. Determine the productivity in labour hours per
sqm using historical data.

Solution:

Labour-hours per Unit = Labour Hours / Quantity = 12/150 = 0.08 hr/m2

 4.2 Labour Cost

Labour productivity
3- Estimating labour productivity using field observations

Calculating labour productivity from field observations:

3-1- Daily production

3-2-Cycle time
 4.2 Labour Cost

Labour productivity
3- Estimating labour productivity using field observations

3-1- Daily production:

The production is determined by measuring the quantity of work performed

during a day and dividing it into the number of labour hours required to
complete the work.
The productivity is determined using the same equation for historical data.

Labour-hours per Unit = Labour Hours / Quantity

 4.2 Labour Cost

Labour productivity
3- Estimating labour productivity using field observations
3-1- Daily production:

Example 5:

The measured output for a crew is 70 m3 of concrete in 1 day. The crew consists
of seven crew members, who work 8 hours each during the day. Determine the
productivity of the crew in labor hours per m3 of concrete.

Solution:
Labor-hours per Unit = Labor Hours / Quantity
= (7person)*(8hr/person-day) / (70m3/day)= 0.8 lhr/m3
 4.2 Labour Cost

Labour productivity
3- Estimating labour productivity using field observations
3-2- Cycle time:

Cycle time is used for repetitive tasks. Repetitive tasks are tasks that repeat over time.

Mixing in Returning to
Transportation Pouring Compaction
batching plant batching plant
Concreting of
an structural
element
 4.2 Labour Cost

Labour productivity
3- Estimating labour productivity using field observations
3-2- Cycle time:

The productivity of repetitive tasks is determined by measuring the time it

takes to complete a cycle, which is known as the cycle time (CT).

CT ave= (CT1+CT2+…CTn) / n

Labour-hours/unit = CT ave * No. of labourers / Units

Where, units is the number of units produced per cycle
 4.2 Labour Cost

3- Estimating labour productivity using field observations

3-2- Cycle time:
Example 6.
The below cycle times were observed for the process of installing plywood sheathing.
Determine the average cycle time. The crew size is two persons. The size of each sheet of
sheathing is 2.4*1.2 meter.
Observed cycle times
installing sheathing on a floor
Number Time Number Time
Picking up a sheet of cycle (min) of cycle (min)
Placing and Returning to
of sheathing from moving
fastening stock pile
the stock
1 10.5 6 13.1

2 14.2 7 10.8

3 12.3 8 12.4

4 11.5 9 11.7

5 11.8 10 13.1
 4.2 Labour Cost

3- Estimating labour productivity using field observations

3-2- Cycle time:

Solution:

CT ave= (CT1+CT2+…CTn) / n
= 12.1 minutes /cycle

Labour-hours/unit = CT ave * No. of labourers / Units

= (12.1 munities x 2 )/ (2.4m x1.2m) = 8.4 lb minutes/m2
= 8.4/60 lb hr/m2
= 0.14 lb hr/m2
 4.2 Labour Cost

Labour Hours:

The number of labour hours required to complete a task is calculated by

multiplying the labour productivity by the quantity of work:

Labor hours = Quantity * [Labor Hours /unit]

 4.2 Labour Cost

Labour Hours:
Example 7:

A concreting crew should pour 100 m3 of strip footings. Estimate the

value of labour productivity using national reference books and then
determine the number of labour hours required for concrete pouring
the strip footings. You can take labour productivity from national
reference book (see next slide).

Solution:

Number of hours = 0.9 lhr/m3 x 100m3 = 90hrs

4.2 Labour Cost

labor productivity
using national
reference books
4.3 Equipment cost
 4.3 Equipment cost

Basic principle for estimating equipment cost:

Equipment 𝑐𝑐𝑐𝑐𝑐𝑐𝑐𝑐 =
∑𝑛𝑛𝑖𝑖=1 𝑒𝑒𝑒𝑒𝑒𝑒𝑒𝑒𝑒𝑒𝑒𝑒𝑒𝑒𝑒𝑒𝑒𝑒 ℎ𝑜𝑜𝑜𝑜𝑜𝑜𝑜𝑜 𝑖𝑖 ∗ 𝑒𝑒𝑒𝑒𝑒𝑒𝑒𝑒𝑒𝑒𝑒𝑒𝑒𝑒𝑒𝑒𝑒𝑒 𝑟𝑟𝑟𝑟𝑟𝑟𝑟𝑟(𝑖𝑖)
Where, equipment hour is number of equipment hours required to complete the work
and equipment rate is the hourly rate for an equipment

Equipment hours = Quantity of work * Equipment productivity

4.3 Equipment cost

Determining equipment productivity and rates:

1- Quotations
2- In-house database
3- Cost information services (National reference books):
4.3 Equipment cost

Types of equipment

Owned equipment
Leased equipment
Rented equipment
4.3 Equipment cost

Owned equipment
Depreciation
Interest (Financing expenses)
Taxes and licenses Ownership Costs
Insurance
Storage

Tires and other wear items

Fuel Operating Costs
Repair reserves
 4.3 Equipment cost

Types of equipment
 Owned equipment
 Leased equipment
 Rented equipment

 With leased equipment the depreciation and interest costs are replaced
with the lease payment.
 With a typical lease, the company leasing the equipment is still
responsible for paying the cost of the taxes and licenses, insurance,
storage, tires and wear items, and repairs.
 These costs are calculated in the same manner as they are calculated for
owned equipment.
4.3 Equipment cost

Types of equipment

 Owned equipment
 Leased equipment
 Rented equipment

 The contractor pays the rental cost and the cost of fuel.
 The other costs are covered by the company that rents the
equipment.
4.4 Profit and overheads

Profit and Overhead

To cover the general overhead required by the main office and to
provide a profit to the company owners.

The profit and overhead mark-up is expressed as percentage of the

construction cost.
5. Building-up rates for concrete

1- ASMM rules for concrete pricing

Prices are to include for:
• Mixing,
• Handling,
• Hoisting,
• Placing in position,
• Pour joints,
• Making good after removal of formwork.
5. Building-up rates for concrete

2- Factors to consider when pricing concrete

• Quality of concrete e.g. strength
• Production method i.e. Site-mixed or ready-mixed concrete.
• Site transportation and placing system e.g. pumping, dumper
• Plain or reinforced
• Waste allowance
• Quantity - large or small volumes
• Compaction requirements
• Method of application e.g. sprayed, vibrated etc.
5. Building-up rates for concrete

3- Supply Concrete
Ready-Mixed Concrete (Subcontracting arrangements)
• Ready-Mixed Concrete (RMC) is by far the most common form of concrete production. Reasons:
 Better quality, manufactured under carefully controlled conditions.
 Generally cheaper than site-mixed concrete.
 No site space required for concrete plant.

• A basic quote per m3 can be obtained from a RMC company, upon which extras maybe added for:
 Lower quantities (eg. less than 3m3 )
 Long distance cartage.
 Deliveries after business hours.
 Admixtures.
 Pumping-quality concrete.
 Site waiting time.
5. Building-up rates for concrete

3- Supply Concrete
Site-Mixed Concrete
 5. Building-up rates for concrete

4- Transportation & Placing

Site transportation and placing of concrete can vary greatly.
Examples:
1. Tipped into a wheelbarrow and carried across site
2. Tipped into a dumper and carried across site.
3. Pumping into position
4. Loading concrete into a skip and lift up several floors by
crane or hoist.
5. A Ready Mix Concrete (RMC) truck tipping concrete directly
into footings.
5. Building-up rates for concrete

4- Transportation & Placing

Wheelbarrow
 5. Building-up rates for concrete

4- Transportation & Placing

Dumper
5. Building-up rates for concrete

Building Up Rates for Concrete: Wheelbarrow

Example 1:
Build up the rate for 20 MPa Plain concrete in strip footings. The required data are
as below:
• It is assumed that 20 MPa concrete is supplied and delivered to site at $160/m3
• Transport and placing on site is done by barrows. Overhead and profit is 10%.
• Allow 5% for waste
• Labourer rate = $50/hr
• Barrows and vibrators are considered in preliminaries
5. Building-up rates for concrete

Building Up Rates for Concrete: Wheelbarrow

Answer
Material:
• Material cost = $160/m3
• Waste 5% = $8/m3 Material cost considering waste = $168/m3
Labour:
• Labour productivity for transport, place, spread and level in barrows = 1.5 hrs/m3 Labour
hours (per m3) = 1.5
• Labour rate = $50/hr
• Labour cost (per m3)= labour hours * labour rate = 1.5*50=$75/m3
Plant:
• Barrows and vibrators are considered in preliminaries
BQ rate:
• Concrete rate= material cost + labour cost + equipment cost = (168+75+0) = $243/m3
• Concrete rate considering overheads and profit (10%) =243 * 1.10 = $267.3/m3
5. Building-up rates for concrete

Building Up Rates for Concrete: Dumper

Example 2 (class activity):
Build up the rate for 20 MPa reinforced concrete in ground slab not exceeding
100mm thick. The required data are as below:
• It is assumed that 20 MPa concrete is supplied and delivered to site at $160/ m3.
• Transport and placing on site is done by dumpers.
• The typical gang is as below:
2 Dumpers + 2 Drivers + 2 Labourers(spread and level) + 1 labourer(vibrator)
• Overhead and profit is 10%.
• Allow 5% for waste
• Labourer rate = $50/hr
• Dumpers and vibrators are considered in preliminaries
5. Building-up rates for concrete

Building Up Rates for Concrete: Dumper

 5. Building-up rates for concrete

Building Up Rates for Concrete: Dumper

2*120/day
5. Building-up rates for concrete

How to manage cost efficiency in concrete placing

• Bulk purchase – negotiate price, get rebates, discounts….
• Get involved in the supply chain e.g. make your own concrete, quarry etc.
• Avoid waste
• Use appropriate technology
• Subcontracting
Questions?